NIO Stock Forecast: Nio sinks after Hang Seng Index tumbles to close the week
Premium|Take advantage of 50% OFF on your first month.
Start your subscription and get access to all our original articles.
You have reached your limit of 5 free articles for this month.
Get all exclusive analysis, access our analysis and get Gold and signals alerts
Elevate your trading Journey.
UPGRADE- NYSE: NIO fell by 2.9% during Friday’s trading session.
- Fears over China’s declining growth had Chinese stocks selling off yet again.
- Barclays reduces its price target for Nio to $19.
Nio (NIO) slipped lower yet again on Friday as the tumultuous week for Chinese ADR stocks mercifully came to an end. Shares of NIO fell by a further 2.9% and closed the trading session at a price of $9.69. All three major averages soared into the weekend as strong earnings results from Apple (AAPL) lifted the broader markets. After a brutal week for big tech stocks, Apple offered investors some hope as the stock surged by more than 7.5% despite weaker-than-expected iPhone 14 sales figures. Overall, the Dow Jones added 2.6%, the S&P 500 gained 2.5%, and the Nasdaq surged higher by 2.9% during the session.
Nio stock price
Recent economic data and further concerns over more covid lockdowns have investors in China heading for the hills once again. Stocks in Hong Kong tumbled as the Hang Seng index fell a further 4% on Friday. The fears arrived after it was shown that the Chinese economy is likely shrinking after industrial revenues came in lower than in 2021 on a YoY basis. With President Xi set to double down on his zero-covid policies, ADR investors are bracing themselves for another term of regulatory crackdowns and economic decline.
A well-known Nio bull from Barclays slashed Nio’s price target by a significant amount. Analyst Jiong Shao previously had a price target of $34 per share for Nio’s stock, but on Friday this was reduced to just $19. Shao is concerned that in the short term, there are too many headwinds in the Chinese economy for Nio to outperform its stock price. The new price target would still see Nio more than double its price from Friday’s closing levels.
NIO 5-minute chart 10/28/22
- NYSE: NIO fell by 2.9% during Friday’s trading session.
- Fears over China’s declining growth had Chinese stocks selling off yet again.
- Barclays reduces its price target for Nio to $19.
Nio (NIO) slipped lower yet again on Friday as the tumultuous week for Chinese ADR stocks mercifully came to an end. Shares of NIO fell by a further 2.9% and closed the trading session at a price of $9.69. All three major averages soared into the weekend as strong earnings results from Apple (AAPL) lifted the broader markets. After a brutal week for big tech stocks, Apple offered investors some hope as the stock surged by more than 7.5% despite weaker-than-expected iPhone 14 sales figures. Overall, the Dow Jones added 2.6%, the S&P 500 gained 2.5%, and the Nasdaq surged higher by 2.9% during the session.
Nio stock price
Recent economic data and further concerns over more covid lockdowns have investors in China heading for the hills once again. Stocks in Hong Kong tumbled as the Hang Seng index fell a further 4% on Friday. The fears arrived after it was shown that the Chinese economy is likely shrinking after industrial revenues came in lower than in 2021 on a YoY basis. With President Xi set to double down on his zero-covid policies, ADR investors are bracing themselves for another term of regulatory crackdowns and economic decline.
A well-known Nio bull from Barclays slashed Nio’s price target by a significant amount. Analyst Jiong Shao previously had a price target of $34 per share for Nio’s stock, but on Friday this was reduced to just $19. Shao is concerned that in the short term, there are too many headwinds in the Chinese economy for Nio to outperform its stock price. The new price target would still see Nio more than double its price from Friday’s closing levels.
NIO 5-minute chart 10/28/22
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.